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Property Overview

PROPERTY OVERVIEW

McKay Hill is a polymetallic (Ag-Au-Pb-Zn-Cu) project located in central Yukon, adjacent to the northwest portion of Atac Resources' Rackla Project. The project consists of 129 claims covering approximately 35.4 square kilometers,

within a belt of silver-lead-zinc related deposits that stretch from the Alaska border to the southern part of the Yukon and includes the historic Keno Hill silver district.

McKay Hill was discovered in the 1920’s and worked on during the period of 1926-29, including a shallow drill program by Consolidated Mining and Smelting Company of Canada (now Teck Resources Limited). Between 1948 and 1949, East Bay Gold produced 143 tonnes of high-grade material from the No. 6 vein at McKay Hill, grading 390.8 g/t Ag and 74.1% Pb.1

Historic surface sampling at McKay Hill returned high-grade silver, lead and zinc mineralization associated with vein structures. More recent field work conducted by Metallic Minerals, and its predecessor, has verified the potential for high-grade silver, lead, and zinc mineralization, as well as demonstrated very significant gold and copper in this emerging district scale property. In total, field exploration work at McKay Hill has yielded 23 samples from 12 of the 16 known vein structures running greater than 300 g/t silver equivalent, which is the average reserve grade of global primary silver producers.

Metallic Minerals technical team has begun developing future programs which are expected to commence in 2018 and consist of:

  • Additional prospecting and reconnaissance work in areas of the property not covered in 2017apping over the expanded soil grids and chip sampling of newly identified vein occurrences;
  • Expansion of the existing soil grids of the Central Zone and Independence Ridge areas where the anomalous trends remain open;
  • Trenching and geophysical surveys to define and prioritize potential drill targets on the most advanced prospects including the No. 1, 6, and 8 veins, and the Snowdrift, Blackhawk and Independence veins; and
  • Potential drilling on the most advanced targets identified through preliminary surface work.

1 Geological and Geochemical Evaluation Report on the McKay Hill Project, Jean Pautler, P.Geo. JP Exploration Services Inc., 2009

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